Leasing License Practice Exam

Which type of contract is typically voidable by a minor?

1. A contract between two adults

2. A contract between an adult and a minor

3. An employment contract

4. A real estate contract

The correct answer is: A contract between an adult and a minor

A contract between an adult and a minor is typically voidable by the minor due to their age. This legal principle exists to protect minors from entering into agreements that they may not fully understand or that may not be in their best interest. The law recognizes that minors may lack the maturity and experience needed to make informed decisions about contractual obligations. When a minor enters into a contract, they generally have the right to void or disaffirm that contract at any time before reaching the age of majority, or shortly thereafter. This means that the minor can choose to either honor the contract or cancel it without penalty. The rationale behind this is to shield young individuals from exploitation and to ensure that they are not bound by agreements that they did not have the capability to enter into responsibly. Other types of contracts, such as those exclusively between two adults, or specific contracts like employment or real estate contracts, typically do not afford the same protections to minors. In those scenarios, the agreements remain binding unless there's a specific provision or legal precedent indicating otherwise.